11 April 2017
Our company is into trading of goods and providing services relating to repair and maintenance of those goods - registered both with VAT and Service Tax Department. We are not registered in Excise Department. The input credit balance showing in our VAT Return and Service Tax Return can be carried forward as SGST and CGST.
Since GST is to be implemented from 1st July, 2017. The input credit of excise normally is not taken into account by us. So, only those goods which are lying in stock, their excise input credit can be carried forward as CGST? Pls clarify. We have also slow moving inventory which are available in stock for more than 1 year,so on those inventory will be able to take input tax credit of excise duty?
12 April 2017
Yes, Central Excise duty/CVD paid on goods available in stock can be taken credit of. A time limit of one year is prescribed for taking credit from the date of invoice. If certain invoices are older than one year, it shall create some problems. Wait for final transitional rules to be notified for more clarity.
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